Navigation:  Loan Screens > Account Information Screen Group > Additional Loan Fields Screen > Valuation/Billing tab > Non-Accrual field group > Non-Accrual Book Balance

Entry: System, numeric

F/M: No

Mnemonic: LNNABB

Screen: Loans > Account Information > Additional Loan Fields > Valuation/Billing tab

 

This is the book balance of the loan. At the time the loan becomes non-accrual (tran code 583), the non-accrual balance becomes the same as the loan principal balance.

 

As payments are posted to the loan, the non-accrual balance is reduced by the full payment (principal and interest amounts). The loan principal balance will continue to amortize as it normally would.

 

A loan can be set to a "non-accrual" status by teller transaction 583 and have the status removed with transaction 584. A check will appear in the Non-Accrual? field if the loan is in a non-accrual status.

 

Transaction 584 (Clear Non-Accrual/Reclassify) will delete the checkmark (if there is one) in the Non-Accrual? field, clear the amount in the Non-Accrual Book Balance field, and, in the General Ledger, it will reclassify the balance between the principal balance and the non-accrual book balance.

 

Refer to the Non-Accrual Loan Report (FPSRP137) and the Accrued Interest Report (FPSRP019) in the Loan Reports manual.

 

If a partial charge-off transaction is processed, the non-accrual balance becomes lower by the charge-off amount.

 

If insurance is force placed, the same amount will be added to this field as to the principal balance.